The most recent enforcement and litigation data released by the Equal Employment Opportunity Commission (EEOC) confirm that employment-related liabilities remain one of the most significant risks facing employers. Controlling these risks requires an understanding of what employers can and cannot do under the various equal employment opportunity laws enforced by the EEOC, including:

These laws generally make it illegal for employers to discriminate on the basis of a person’s protected characteristic, such as an employee’s or applicant’s race, color, religion, sex (including pregnancy), national origin, age (40 or older), disability or genetic information. It is also illegal to retaliate against a person because he or she complained about discrimination, filed a charge of discrimination, or participated in an employment discrimination investigation or lawsuit.

The Equal Employment Opportunity Commission (EEOC) is responsible for enforcing various federal equal employment opportunity laws. Every year the EEOC releases information about its enforcement and litigation efforts during the previous fiscal year (FY), which runs from October 1st to September 30th. This data can be used to get a better understanding of potential employment-related liability exposures that continue to pose a significant risk to most employers.

In FY 2014, the EEOC received a total of 88,778 charges of workplace discrimination, which is lower than recent fiscal years. There were 93,727 charges filed in FY 2013 and 99,412 charges filed in FY 2012. According to the EEOC, this decrease is due in part to the government shutdown during the first quarter of FY 2014.

The current federal minimum wage under the Fair Labor Standards Act (FLSA) is $7.25 per hour ($2.13 for tipped employees). Some states, however, have established their own minimum wage, and employees in these states are entitled to whichever minimum wage is higher. Given the existence of multiple minimum wage rates, employers, particularly those operating in more than one state, must know which minimum wage rate (or rates) may apply to their operations.

According to the National Conference of State Legislatures:

38 states introduced minimum wage bills and 34 states considered minimum wage increases during the 2014 legislative session.

23 states and D.C. have minimum wages above the federal minimum wage as of August 1, 2014.

18 states have minimum wages that are the same as the federal minimum wage.

3 states have minimum wages below the federal minimum wage, so the federal minimum wage applies.

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